m BIDS Comprehensive BI Solution for Manufacturing Business

m. BIDS: Comprehensive BI Solution for Manufacturing Business Intelligence for Decision Support

Industry Drivers Global Competition Customer Expectations • How can customer service • How do I meet the need for enable product differentiation? personalized products & services? • What is the best way to manage • What can I do to improve the multi-channel demand across a fragmented supply network? Supply Base Cost Pressures • What is the right balance of internal and outsourced production for reducing costs? • How can I leverage lean techniques across the enterprise to improve costs? speed and visibility of product shipments? Mfg Distribution Channels Customer Information Visibility • How do I provide real-time information visibility to trading partners and employees? • How do I increase the use of self-service processes? 2

Driving BI Spending in Manufacturing Key Business Requirements • Enhancing Profitable Growth • Effective geographic expansion • Enhanced customer satisfaction • Optimized resource usage Employees • Improved Operational Efficiencies • Minimize procurement costs • Increase manufacturing throughput, workforce productivity Suppliers • Decrease days sales outstanding (DSO) • Enable Real-time Visibility Customers/ Patients • Shrink LOB decision cycle time, time-to-market Partners • Reduce errors in orders, production scheduling, inbound and outbound freight • Support for continuous improvement via collaboration 3

Challenges in Enhancing Profitable Revenue Growth CHALLENGES • Order entry system is manual, error-prone and requires • • manual approval Order entry system does not compute product margins and promised delivery dates Large number of duplicate orders are entered into system each week Sales, customer service, service and marketing are unable to get a 360º view of the customer Sales reporting is manual, tedious to produce and not real-time Time to market for new products and services is much higher than industry benchmark of 9 months Company does not have accurate records of the install base and their product usage history The online configurator does not offer guided selling to customers RESULTING IN • Geographic expansion into • • overseas market will be challenging Potential missed or lost sales Sub-optimal customer satisfaction, leading to further lost sales Longer product introduction times result in missed highmargin product sales Incorporating customer needs and inputs into new product/service designs is difficult Unable to promote products that optimize use of mfg resources High number of returns Sub-optimal use of time by sales, customer service, and marketing 4

Challenges in Improving Operational Efficiencies CHALLENGES • Manufacturing scheduling and sequencing do not • • • comprehensively incorporate all inputs Manual process for intra-divisional and corporate-driven purchases Forecasting and S&OP are essentially non-existent BOM’s are inaccurate in system and thus all production scheduling is Excel- and manual-driven Manual generation of metrics to support vendor scorecard, no drill down or capture of ASN’s Manual processes for freight management Inventory tracking is not integrated in existing IT systems Warranty tracking is manually done and not integrated Very limited visibility on end-customer demand ECN process is manual and cumbersome Finance, accounting, AR, AP, costing, incentive compensation and fixed-asset tracking processes are manual, time-consuming and expensive RESULTING IN • Decreased manufacturing • • throughput and productivity Increased procurement costs Inventory inaccuracies High inventory levels and inventory carrying costs Increasing freight/transportation and logistics costs Increasing warranty costs Increasing days sales outstanding higher cost of collections Inaccurate commissions and SPIFF’s payments (more likely over-payments rather than under -payments) 5

Challenges in Improving Real-Time Visibility CHALLENGES • No visibility on total end-customer demand RESULTING IN • Management unable to make real- • Very limited collaboration with end-customers on innovation • • • design and new products Extensive manual re-keying of data from faxed and mailed/paper orders, Excel and numerous operational and financial in-house systems today Integration of and reporting out of these numerous systems is a large drain on IT and Finance/Accounting resources – plus, huge systems complexity, inefficiencies and costs Customer information resides in multiple, non-integrated systems and locations Bar coding & RFID usage is very limited Data sharing with suppliers done primarily via fax, limited electronic data exchange Lack of real-time, accurate workforce performance evaluations and compliance reporting • • • time decisions without dashboards and drill-down No real-time reporting/analysis High number of errors in orders, AR, production scheduling, inbound and outbound freight, and this impacts finance/acctng (books, productivity, profitability) Limited supply chain visibility increased supply chain costs Limited collaboration with suppliers increases time-to-market and product costs Limited collaboration with customers prevents incorporating customers’ ideas to improve and/or accelerate successful new product/service releases Decreased workforce productivity 6

Business Intelligence Trends • BI standardization • While BI has been deployed departmentally, IT organizations are driving enterprise BI standards • BI to the masses • Deploying BI to the “corporate middle class” has started • BI meets applications and processes • Analytic tools, application package, and integration worlds continue to collide • Predictive and applied “inline” analytics • ITOs will put a bigger focus on predicting and integrating analytic solutions to solve business problems at the point of interaction instead of providing retrospective analysis Source: Andreas Bitterer, Gartner Group, Business Intelligence: Trends, Directions and Best Practices, Sep 2006 7

BI Continuum: On the Way to Pervasive BI Analysts/Mgmt. Strategy Process BI Continuum Measure Decide Align Optimize Discover Analytics driving process optimization BI driving business transformation Pervasive Signposts: IT driving BI CPM driving strategy Users: Specialists, analysts Managers, customers, partners Operations, point of work Passive: Delivery of information Linked: Integrated plans & analyses Active: Intelligent decisions made quickly Role of BI: Innovate Networked & Collaborative: Constantly augmenting & optimizing performance Source: Andreas Bitterer, Gartner Group, Business Intelligence: Trends, Directions and Best Practices, Sep 2006 8

Major Drivers and Inhibitors to Pervasive BI • Consumerization of use of information • High expectation of ability to use and access • Standardization/commoditization • Basic BI platform functionality (i. e. , reporting, query, dashboards) broadly available & “good enough” • Modularization • BI functionality becomes more componentized and service-oriented • Users and developers can more easily customize • Users can add value in pursuit of self-interest • Networked collaboration • Fosters environment of innovation and contribution • Ability to easily share and manage user insights and contributions across wide numbers of users and applications (not just internally, either) • Skills • Lack of best practices and methodologies to manage a complex and pervasive set of BI capabilities • Users can’t understand the analysis and correctly interpret the results • Stability and flexibility of business processes • Low process maturity • Lack of closed-loop process management • Silo think • Of infrastructure, applications, definitions, rules, calculations, etc. • “NIH” syndrome • Spreadsheet as information systems “duct tape” • Sponsorship • Limited vision and perceived business value/impact Source: Andreas Bitterer, Gartner Group, Business Intelligence: Trends, Directions and Best Practices, Sep 2006 9

Shift Focus From Individual Projects to BI as Core Competency Function of BI Competency Center Compliance Enterprise Architects Business Sponsor CPM Apps. Competency Center Embedded Analytic BI Apps. Service Providers BI Apps. – Provide vision and strategy and business plan for integrated BI initiatives. – Define standards; establish overall BI applications architecture. – Define and manage product portfolio. – Program management across business, IT and service providers. – Define information standards: data, business rules, governance, quality … – Drive competency and consistency via education and support. – Make BI into a core competency. Source: Andreas Bitterer, Gartner Group, Business Intelligence: Trends, Directions and Best Practices, Sep 2006 10

m. BIDS – Next-Generation BI Solution for Maufacturing • Comprehensive enterprise-wide BI platform • Data integration and warehousing • Data purity and integrity • Built-in connectivity to operational data stores Business Intelligence for Decision Support • Advanced OLAP and Data Mining capabilities • Integrated with leading BI front-end tools and technologies • Built on “Think Big - Build Step-By-Step” philosophy • Provides end-to-end Single view of business • Business process KPI driven • Rapid Development and Cost Effective 11

m. BIDS – Key Business Process Coverage Areas Business Intelligence for Decision Support Production Analysis Sales Analysis Customer Analysis Vendor Analysis Point-of-Sale Returns Analysis Shipments Analysis Rebates Analysis Campaign Management 12

m. BIDS – Logical Data Model 13

m. BIDS Capabilities: Dashboards Encapsulation and Rendition of Enterprise BI Needs • Dashboards on key measure • Analyze Trends for your key measure • Analyze key measure against product category or Rate Plans 14

m. BIDS Capabilities: Reporting Actionable Intelligence based on KPIs and Operational Metrics • Reports and Analytics available on key subject areas • Templates available for rapid deployment • Templates based on TCS rich Domain Expertise and BI experience 15

m. BIDS Capabilities: High-end Analytics and Predictive Modeling Customers sorted in likelihood to purchase a product 16

Oracle’s Superior BI Architecture Designed for Business Insight and Actionable Results Oracle: Competition: Single, Integrated, Global, Scalable, Real-Time Repository Cost and Complexity Purchasing Data Product Data Supplier Data Manufacturing Data Demand & Order Data Transportation and Logistics Data Pricing Data Projects Data Customer Data Distribution HR/HCM Data Financials Data & Consolidations CRM Financials Data Warehouse Service SRM and Daily Business Intelligence ERP Planning 17

m. BIDS Value: Pervasive, Real-time Insight • Enterprise semantic model • • Pervasive business insight • Executives • • Front-line Employees Infrastructure integrates with yours Fastest time to value • • Guided analytics enforce process Standards based architecture • • Activity monitoring and predictive analytics Insight driven actions • Managers Personalized and embedded information Real-time predictive insight • • Model centric vs. report centric Pre-packaged analytic applications Lowest Cost of Ownership • Faster deployment, easier maintenance, less risk 18

m. BIDS Value: Actionable Insight for All Roles 19

m. BIDS Value: Actionable Insight for All Users 20

m. BIDS Value: Comprehensive Next. Generation BI Platform Information Access, Analysis and Delivery Options Intelligence Advanced Dashboards Reporting Ad-hoc Exploration Proactive Detection and Alerts Single, logical view of all enterprise data (one version of the truth) Scalable Performance Rich Analytical Capabilities Centralized control, security and visibility • • Mobile Analytics Data Mining Marketing Web Services Segmentation & Integration Open Intelligence Interface Oracle BI Server • In-Context Operational Insight Enterprise Business Model Metadata Services Intelligent Multi-Level Caching Services Data Mining Services Real-Time Decisions Engine Multidimensional Calculation and Integration Engine Intelligent Request Generation and Optimized Data Access Services All relevant enterprise data Siebel sources OLTP Oracle BAW Enterprise DW Department Data Marts Relational (SQL) Sources Back Office SAP BW Other Multi. File or XML dimensional Sources (MDX) Sources 21

TCS BI/Oracle Customers Manufacturing • American Honda, USA • British Petroleum, Global • Boeing, USA • Cummins, USA • Eaton, USA • Eli Lilly, USA • Goodyear, USA • GE Health Care, Global • Motorola, Global • Michelin Japan 22

Gartner on TCS Business Intelligence Implementation Services MQ 23

IDC on TCS (2/06) Excerpts from IDC White paper on “Partnering for Successful Business Analytics Projects” • TCS has a robust solution implementation methodology with supportive internal business processes • TCS develops customizable templates and other reusable assets to replicate client success stories based on industry and technology expertise • Dedicated technology centers of excellence ensure that TCS has employees with the proper technical skills, meaningful technology partnerships, and best practices and know-how that are being captured for reuse 24

IDC Names Oracle Business Analytics Leader for 2005 (11/06) • Oracle Named Worldwide Market Share Leader in Business Analytics Software and Data Warehousing Tools (3 rd consecutive year) • Oracle's Business Intelligence (BI) solutions encompass a comprehensive, integrated set of leading products including packaged BI applications, BI platform infrastructure software, and data warehousing. • Oracle was the largest business analytics vendor with 13. 1 percent market share and revenues of nearly $2. 2 billion for 2005 (IDC, “Worldwide Business Analytics Software 2006 -2010 Forecast and 2005 Vendor Shares”) • Oracle is the leader in the data warehousing tools market with 19. 3 percent market share and nearly $1. 9 billion in software revenue for 2005 (IDC, “Worldwide Data Warehousing Tools 2005 Vendor Shares”) 25

m. BIDS: Comprehensive BI Solution for Manufacturing Business Intelligence for Decision Support